Exela Technologies (NASDAQ: XELA) stock surged 72% in the past month. The company recently released a series of good news, which caused its stock price to rise sharply. So now, is it time to buy this stock?

First of all, the company announced rollout of EON on June 29, its robotic process automation platform for a large health insurance company. The platform will automate claims processing and fulfillment services, which significantly reduces processing time and the overall responsiveness to members and providers.

The company also announced on June 30 that its digital mailroom platform is live and available for online signups for small and medium businesses in the UK. The platform allows users to get a virtual office address and receive their incoming mail as digitised documents accessible via this platform portal.

In addition, the company plans to use certain proceeds from its equity program to strategically reduce its debt and associated interest expense obligations as well as explore ways to invest in its growth. The company had over $205 million of cash and cash equivalents as of June 30, 2021, which enables them to fund its business growth.

It can be foreseen that the company's revenue will grow in upcoming quarters through its new commercial application platforms. Furthermore, the company's strategic deleveraging also brought positive effects to its stock. Therefore, XELA is a valuable penny stock that investors should continue to track closely.

Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.